To keep up with the rapidly evolving Decentralized Finance (DeFi) ecosystems, protocols are focus on reducing gas costs for users. And 0x (ZRX) is the latest to do so with its version 4 upgrade.
Following a governance vote, which was completed on January 23, 2020, a majority voted in favor of upgrading the protocol to version 4, which will bring in a raft of new improvements for its users.
It added that 0x version 4 (v4) is now the accepted standard, replacing version 3 (v3) and version 2 (v2) functionality for DeFi standard tokens. Over 11 million of its native ZRX tokens were used in the governance vote, which passed the proposal with an ‘overwhelming majority.’
“Special thanks to the 2,362 unique ZRX holders who showed up with 11.6m ZRX to support the proposal.”
The announcement added that it was the largest vote by ZRX voting power and the second-largest by number of token holders represented.
Battling the Gas Spike
The latest version of the decentralized exchange (DEX) protocol promises as much as 70% savings on transaction fees for request for quote (RFQ) liquidity and 10% on limit orders.
It added that it was also cheaper to trade on both Uniswap and SushiSwap using 0x v4 than it is natively on those platforms. The upgrade also includes a smart order routing algorithm.
This allows users to provide liquidity into a pool with any arbitrary token, swap liquidity pool tokens, or swap your collateral on Compound or Aave on the fly.
Version 4 also allows custom plug and play on-chain liquidity pools via a standard interface for developers and market makers. The architecture has also been modified to enable automatic upgrades and faster iterations if governance proposals are passed.
The gas savings will be of most interest to users. The average transaction price keeps climbing. They’re currently being reported at around $7.30 on average, with a median fee of $3.60.
DeFi lending protocol Balancer also made a move to battle the gas with a 30,000 BAL reimbursement program for its users.
ZRX Token Price Update
The 0x native token has pumped today on the news, lifting prices around 12% to reach $0.58 at the time of writing. ZRX has made solid progress in recent weeks with a seven day gain of 7% and a thirty-day rise of 55%.
Its recent peak price came in late August 2020 when it topped $0.73, but it’s still a long way down from its three-year all-time high of over $2.50. DEX volume has also begun to lift off, according to one of the project’s managers.
Trusted
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
